Why Some Websites May Leave the UK Over Online Safety Rules

4 September 2025

Paul Francis

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The UK’s Online Safety Act, passed in 2023, is beginning to reshape how people experience the internet in Britain. While much of the legislation has yet to come into force, some of its requirements are already being felt. With stricter rules set to take effect in September, questions are being raised about whether the UK’s digital landscape could be permanently changed.

Blue fiber optic cables emit glowing light with a dark background, creating a futuristic and dynamic atmosphere.

At its core, the Act is designed to make online spaces safer by holding tech platforms accountable for harmful content. This means services of all sizes, from global giants to small community forums, must assess and mitigate risks such as child exploitation, harassment, misinformation, and access to adult material. But how these responsibilities are enforced, and whether every platform is willing or able to comply, is where the complications begin.

Early Changes and Adjustments

Some companies have already begun reshaping how their services work in the UK. Steam, one of the world’s largest video game platforms, recently introduced a stricter credit card verification system in Britain, designed to restrict under-18s from accessing adult-rated games. Other platforms have implemented stronger age checks or limited features that could expose children to inappropriate material.

Steam has introduced stricter Credit Card verification

Not every company is willing to adapt, however. Wikipedia has openly questioned whether it can realistically comply with the Act. Its non-profit structure, reliance on volunteer moderation, and commitment to user privacy make it unlikely to adopt age verification or sweeping content controls. The Wikimedia Foundation has warned that if forced to implement intrusive measures, it may consider withdrawing services from the UK altogether.

Resistance and Concerns

It is not just Wikipedia sounding alarms. Smaller online communities and specialist forums argue that the Act favours large, well-funded platforms that can afford to build complex moderation systems. For independent websites, compliance could mean costly technical overhauls or the risk of heavy fines. There are fears that some may choose to block UK users rather than take on new legal and financial risks.

Laptop screen showing the Wikipedia homepage in a web browser. Background is softly blurred with warm tones, suggesting a cozy indoor setting. — ***Wikipedia has warned it may withdraw services in the UK***

Tech giants, meanwhile, have expressed their own reservations. While companies like Meta, TikTok, and X (formerly Twitter) have pledged to follow the law, they continue to push back against specific provisions, particularly those requiring proactive removal of harmful but legal content. Critics argue that this places platforms in the role of arbiters of free speech, forcing them to make subjective decisions under threat of penalty.

What Happens in September

The most significant shift is expected in September, when further stipulations of the Act are set to take effect. Age verification requirements for adult content sites are likely to be enforced, echoing earlier debates around proposed online pornography restrictions that collapsed in 2019. This time, however, the rules come with more teeth: websites that fail to comply could face fines of up to 10% of global revenue or even be blocked entirely by UK internet providers.

The introduction of these measures could see a wave of disruption. Adult content platforms, gambling sites, and online services with mature-rated material are likely to be most immediately affected. But ripple effects may extend much further, impacting creative communities, independent publishers, and even gaming services if strict verification rules are applied broadly.

The Future of the UK Internet

Supporters of the Online Safety Act argue that these changes are long overdue. They point to the harm caused by online abuse, the easy availability of explicit material, and the difficulty parents face in monitoring children’s digital lives. For them, forcing platforms to take responsibility is a necessary step toward a safer internet.

Gamer with headphones focused on a video game. Colorful keyboard, intense screen reflections, dim gaming room setting.

Opponents counter that the measures are heavy-handed and risk creating a two-tier internet where UK users are cut off from parts of the global web. They warn that age verification systems could undermine privacy, increase data risks, and erode digital freedoms. If major services were to withdraw or limit access, Britain could find itself with a diminished internet compared to the rest of the world.

As September approaches, the question is less about whether the Act will change the internet in the UK, but by how much. What began as a promise to protect users may well mark the start of a more fragmented and tightly controlled online experience, one where availability and freedom depend on a platform’s ability — or willingness — to comply.

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The Unravelling of Village Roadshow: What It Means for the Global Film and Television Industry

Paul Francis
May 2
4 min read

The once-mighty co-producer of The Matrix, Joker, and Mad Max: Fury Road has hit a critical crossroads. In March, Village Roadshow Entertainment Group (VREG), the U.S. arm of the iconic Australian brand, filed for Chapter 11 bankruptcy protection, citing nearly $400 million in secured debt. This event marks a pivotal moment for the global film industry, where shifting models, legal disputes, and post-pandemic economics are converging in disruptive ways.

While Village Roadshow’s Australian operations — including its studio, cinema, and theme park divisions — remain stable, the collapse of its American entertainment group raises pressing questions about the future of film financing, content ownership, and production geography. The repercussions are likely to extend beyond the company itself, affecting studios, investors, talent, and streaming platforms.

Who Is Village Roadshow? A Legacy of Entertainment

Founded in 1954 in Melbourne by Roc Kirby, Village Roadshow began as a suburban drive-in cinema operator and evolved into one of Australia’s largest entertainment conglomerates. The name became synonymous with cinema culture across the country and, later, with Hollywood-level film production.

Expansion into Global Film Production

In the 1990s and early 2000s, Village Roadshow established Village Roadshow Pictures, headquartered in Los Angeles. The company entered a long-standing co-financing relationship with Warner Bros., helping bankroll a string of major commercial and critical hits.

Key productions include:

The Matrix trilogy and The Matrix Resurrections
Joker (2019)
Ocean’s Eleven and its sequels
American Sniper
Mad Max: Fury Road
Sherlock Holmes (Robert Downey Jr. series)
Ready Player One
Edge of Tomorrow
The Lego Movie

This co-financing model allowed studios to reduce risk while giving Village Roadshow a lucrative stake in high-performing properties. At its height, Village Roadshow Pictures helped raise billions of dollars in private equity and debt financing, aligning Wall Street capital with Hollywood creativity.

What Went Wrong?

VREG’s bankruptcy filing in Delaware outlines $393 million in secured debt and reveals the fallout of years of shifting strategies and legal turmoil.

1. Legal Battles with Warner Bros.

In 2022, Village Roadshow filed a high-profile lawsuit against Warner Bros., claiming that the simultaneous release of The Matrix Resurrections in theatres and on HBO Max violated their contract. They argued that the move deliberately undermined box office revenue and devalued the IP. The lawsuit reportedly cost over $18 million in legal fees, draining resources with a limited return.

2. Unsuccessful Diversification

After a change in leadership and investor pressure, VREG expanded into independent film and TV production, moving away from its historic studio-aligned model. However, the returns on these projects failed to match expectations. As the market tilted further toward streaming dominance, the company struggled to secure distribution and capital.

3. The Post-COVID Industry Reset

The broader film industry continues to recover from the pandemic-induced collapse of theatrical exhibition. With fewer high-budget projects being greenlit and a saturated streaming market, independent co-financiers like VREG have found themselves squeezed between risk-averse studios and demanding capital markets.

Australian Operations: Stable, but Splitting

Importantly, Village Roadshow’s Australian business is not part of the bankruptcy proceedings. Now under the control of private equity firm Bain Capital, the Australian division includes:

Village Roadshow Studios (Queensland), one of the top film production facilities in the Southern Hemisphere.
Theme Parks including Warner Bros. Movie World, Sea World, and Wet’n’Wild.
Village Cinemas, a major theatre operator across Australia.

The Australian business has revoked VREG’s licence to use the “Village Roadshow” name, effectively creating a branding and operational divorce between the two entities. Australian CEO Clark Kirby emphasised the company’s independence, citing profitability and a strong production pipeline, including:

A new Monsterverse film, injecting $93 million into the local economy.
A live-action Voltron adaptation starring Henry Cavill, with a projected $100 million+ spend in Queensland.

What This Means for the Industry

The collapse of VREG is more than the downfall of a single co-producer — it signals deeper changes in how film and television content is financed, produced, and controlled.

1. The Death of the Co-Financing Era?

Village Roadshow was one of the last major players in the co-financing model, a structure that allowed outside investors to share in the upside of blockbuster filmmaking. As studios consolidate (e.g. Warner Bros. Discovery, Disney-Fox) and pivot to in-house streaming content, external financiers are being squeezed out.

This bankruptcy may signal the end of an era where companies like VREG played a vital supporting role in tentpole cinema. The risks are higher, the margins lower, and legal complications around distribution are more complex in a post-streaming world.

2. Back Catalogue Wars

Village Roadshow's bankruptcy filing includes plans to sell its film library, comprising 108 titles that generate around $50 million in annual income. If acquired by a firm like Content Partners, the rights to iconic films may be broken up, restructured, or withheld from public platforms.

This could complicate availability for streaming services, international licensing deals, and even the development of sequels or remakes. For audiences and creatives alike, the fragmentation of IP ownership represents a growing obstacle to cohesive storytelling across platforms.

3. Australia’s Rise as a Production Hub

While VREG falters, Australia is gaining ground as a global production location. Tax incentives, world-class facilities, and pandemic-era reliability have drawn productions from Netflix, Warner Bros., and Disney. Village Roadshow Studios alone has hosted major projects including:

Elvis (Baz Luhrmann)
Pirates of the Caribbean: Dead Men Tell No Tales
Aquaman

This trend may accelerate as international producers seek stable, cost-effective locations outside the U.S. and UK. Australia could emerge as a geopolitical counterweight to Hollywood, particularly in Asia-Pacific content strategies.

4. A Legal Precedent in the Streaming Wars

The Matrix Resurrections lawsuit foreshadowed a broader reckoning over day-and-date releases. Studios, investors, and talent agents now insist on clearer contractual protections around streaming distribution. Future financing agreements may need to explicitly account for digital release strategies, backend deals, and windowing rights, or risk collapse.

A Turning Point for Global Entertainment

Village Roadshow’s financial unravelling is not an isolated event — it is a symptom of a deeper transformation in the film and television business. The collapse of a major co-financing pillar exposes the fragile economics behind even the most beloved blockbusters. At the same time, it offers opportunities for production hubs like Australia to redefine where — and how — global content is made.

As the industry reorients around streaming, IP control, and international expansion, the legacy of Village Roadshow serves as both a cautionary tale and a blueprint for the next generation of media companies.